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Spot Gold Flat Amid Quiet Markets

On Wednesday morning, gold was mostly flat, down about $2 per ounce to $1,292/oz. The precious metals didn’t show any strong reaction to the news of a “lone wolf” incident in France and a terrorist attack on Iran’s parliament. Spot silver was similarly down just 2¢ to $17.66/oz. The Platinum Group Metals were actually deeper in the red, down more than 1% each.

Yesterday, the metals each closed firmly higher. The spot gold market surged $14.30 an ounce (+1.12%) to $1,294.60/oz, approaching a new seven-week high. Silver prices jumped 0.88% to $17.64/oz, while platinum and palladium were up about 0.75% and 1.25%, respectively.

Stocks in the U.S. have continued to eke out all-time highs this week, though the big flurry of events scheduled for tomorrow—the U.K. elections, Comey’s testimony to Congress, and the ECB meeting—are likely to spark far more volatile action. Don’t expect much movement today ahead of those key moments tomorrow. The 10-year Treasury yield was just one basis point higher at 2.15%.

If there is one thing that could be a disruptive force on Wednesday, it’s the news that Islamic State (Daesh) is taking credit for the ongoing terror attack on Iran’s parliament. At least 12 were reported dead. The terrorists, which included gunmen and suicide bombers, also desecrated the shrine to Iran’s revolutionary leader, Ayatollah Khomeini. The attack is another reminder of the fault lines between Sunnis and Shias in the major powers of the Middle East. Meanwhile, U.S.-backed forces have also just launched their assault on Raqqa, Syria against the Islamic State.